The successor to Microsoft's Xbox 360 console is likely to be unveiled at E3 2012, according to a games developer claiming to be working on one of the first titles.

A high-ranking source at Crytek told Videogamer.com that TimeSplitters 4 is being developed for the next Xbox, using Mircosoft's updated DX11 development tool.

The report claims: "The Crysis 2 developer says that Microsoft will announce the existence of a new Xbox within the next 12 months, hinting that an E3 2012 reveal is likely."

The source noted that, although no console specs have been confirmed, DX11 - which includes tessellation, multi-threaded rendering and compute shaders - has had a hugely positive effect on the visuals.

720 Before PS4
The Crytek source also revealed that Microsoft is also likely to launch the new Xbox before PlayStation 4, although Sony is said to be investing heavily in next-gen development.

Although Microsoft failed to announce any new hardware at E3 2011, it did confirm reams of new software for the 360, including Halo 4, and a world of new games for the Kinect platform.

That suggests the company believes that there's plenty of life in the Xbox 360 yet.

Naturally, both Crytek and Microsoft have declined to comment officially on the matter.